Top 5 blue-chip stocks to watch in 2025

What are blue-chip stocks?

Blue-chip stocks are the shares of large, well-established companies, typically with a market capitalisation over $10 billion.

These companies stand out for several reasons:

• They’re market leaders in their industries
• Have a long track record of stability
• Often pay consistent dividends
• Hold a strong public reputation
• Are usually included in major stock indices like the S&P 500 or Dow Jones Industrial Average

Because of these qualities, blue-chip stocks are often viewed as reliable choices for traders looking for stability and long-term performance.

What kind of stock trader should consider blue-chip shares?

Blue-chip stocks have a risk-reward profile that’s attractive to most stock traders, particularly those with a more conservative risk tolerance.

Having said that, they can be a great purchase for those with a greater risk appetite – to balance and diversify their portfolios. This gives traders more stability during economic downturns. 

Common challenges of selecting blue-chip stocks

The very nature of blue-chip stocks is that they’re generally seen as steady and reliable, which means you’re less likely to find ones that show significant growth in the short-to-medium term.

There are also so many of them, making it difficult to determine which ones are worth trading over the short and medium term. Sifting through the financials of dozens or even hundreds of stocks can take time. That’s why we offer our stock screener – to make it easier for you to determine which ones to trade.

Moreover, they’re often expensive – the barrier to entry for a small stock trader can be high. For example, as of 18 July 2025, the share price of Berkshire Hathaway is $709,820.¹ This is an extreme example, but it makes the point.

Risks of blue-chip stocks

• Lack of short-term price movements: blue-chip stocks, because they’re so established, don’t always generate short-term price movements to make CFD trading viable
• Lower returns: because they’re a ‘safer bet’ than many other types of stocks, like growth stocks, they tend to generate lower returns over the short term. However, be aware that this doesn’t mean they’re immune to volatility
• Premium share price: they’re in high demand, which often leads to a higher share price
• Beware of smaller competitors: if blue-chip companies aren’t careful, smaller rivals can chew up their market share quickly

Top 5 blue-chip stocks to watch

We selected these blue-chip stocks for multiple reasons, including:

• Their established status in their industries. For example, Coca-Cola is the largest beverage company in the world
• The companies on our list, like Microsoft, have shown innovation over and over, pivoting from one emerging technology to the next
• They show resilience in market downturns, like the Covid-19 pandemic or the 2008 financial crisis
• All have had overall positive results in recent quarterly earnings reports. For example, Apple’s revenue was up 5% year-over-year (YoY) according to its most recent earnings report

Overview of the blue-chip stocks in this article

The stocks in this article can all be traded via CFDs or by directly buying and stock trading through IG UAE.

1. Berkshire Hathaway (NYSE: BRK.A)
 

Industry: Investing, insurance, energy, transportation and manufacturing

Market cap: $1.02 trillion²

Current focus: Core insurance operations (eg GEIKO), energy businesses (eg Berkshire Hathaway Energy) and wholly owned subsidiaries (eg BNSF Railway).

From humble beginnings as a failing textile company to one of the most successful holding companies in history, Berkshire Hathaway is monolithic in the investment world.

It owns dozens of businesses across sectors, including insurance, energy, transportation and manufacturing. It also has stakes in major companies like Apple, Coca-Cola and American Express.

In its immediate future, world-famous stock trader Warren Buffett is stepping down as CEO, with Greg Abel to succeed him at the end of 2025. With its solid foundation as a blue-chip company, it’s likely to grow from strength to strength even without Buffett at the helm.

Highlights:

• Ended the first quarter of 2025 with a record $333.3 billion in cash and cash equivalents³
• Free cash flow hit $6.2 billion in the same quarter⁴
• It sold on a net basis $1.5 billion of its stock without any share buybacks⁵

2. Microsoft (NASDAQ: MSFT)
 

Industry: Technology

Market cap: $3.80 trillion⁶

Current focus: Productivity (eg Office365), intelligent cloud services (eg Azure), personal computing (eg XBOX) and AI

Microsoft has come a long way while always keeping its product offerings aligned with current technological trends. During the PC era, it dominated with Windows and Office, and has now successfully transitioned into cloud computing and AI.

In 2024, it made a five-year partnership deal with Coca-Cola worth $1.1 billion to transform Coke’s core technology strategy.⁷

Microsoft is now shifting its focus to becoming the definitive AI company, integrating large language models (LLMs) and machine learning (ML) capabilities across its entire product range.

During all this, it still plans to maintain its position as a leader in enterprise software, looking to expand Azure’s global footprint.

Highlights:

• For the company’s FY25 Q3 results, revenue was up 13% to $70.1 billion⁸
• Operating income for the same period was $32 billion⁹
• Diluted earnings per share (EPS) was $3.46¹⁰

3. JPMorgan Chase & Co (NYSE: JPM)
 

Industry: Financial services

Market cap: $805.66 billion¹¹

Current focus: Consumer and community banking (eg Chase brand), commercial banking, corporate and investment banking, and asset and wealth management.

JPMorgan Chase operates as a global financial services firm with positions in investment banking, commercial banking and asset management.

It emerged stronger from the 2008 financial crisis under the leadership of CEO Jamie Dimon and has grown into the US’s largest bank by assets.

Its future plans involve continued investment in technology with digital banking platforms, expansion of international operations, and wealth management and asset management services.

It’s also heavily investing in AI and ML to improve customer experiences and operational efficiency.

Highlights:

• Reported revenue of $44.9 billion and managed revenue of $45.7 billion in the company’s 2025 Q2 results¹²
• Average loans were up 5% YoY¹³
• Paid a dividend of $3.9 billion or $1.40 per share¹⁴

4. Apple (NASDAQ: AAPL)
 

Industry: Technology

Market cap: $3.14 trillion¹⁵

Current focus: The iPhone, which generates the majority of its revenue, alongside other hardware (eg Macs), along with its services (eg Apple Pay) and AI investment.

Apple made history when it became the first company to reach a $3 trillion market cap. It's continued to forge the path when it comes to technology, starting with the first Macintosh computers in the 1980s, through to its portable media in the 2000s with the iPod.

It has a loyal following and an excellent reputation with consumers and stock traders alike. While its valuation has oscillated with accompanying market volatility, it remains a firm favourite for those looking to stock trade blue-chip companies; its most recent quarterly earnings tell us why, with quarterly revenue of $95.4 billion.¹⁶

Highlights:

• Revenue up 5% YoY for the most recent quarterly earnings results¹⁷
• Cut carbon emissions by 60% over the past decade¹⁸
• EPS grew by 8% in the quarter¹⁹

5. Coca-Cola (NYSE: KO)
 

Industry: Food and beverage

Market cap: $303.84 billion²⁰

Current focus: Transforming its beverages to have a lower sugar content (or zero sugar), expanding in emerging markets and enhancing operational efficiency.

Coca-Cola is the world’s largest beverage company, operating in over 200 countries and territories. Its business model concentrates on manufacturing and marketing, and it owns some of the most recognisable brands in the world – think Coca-Cola, Sprite, Fanta and Dasani.

Its plans for the future include having a greater market share in premium beverages like energy drinks and coffee, which are also high-growth categories.

It has impressive sustainability goals, such as using 35% – 40% recycled materials in its packaging by 2035, along with aiming to collect and recycle the cans and bottles it introduces to the market annually in the same timeframe.

Highlights:

• Operating income grew 71% in its most recent quarterly results²¹
• EPS grew 5% to $0.77²²
• The company is focused on growing developing markets, which constitute 80% of the world’s population. For example, it gave over 180 million servings at India’s Maha Kumbh Mela festival in 2025 – considered the world’s largest in-person gathering²³

Key factors to consider when evaluating blue-chip stocks

When you’re evaluating a blue-chip stock, there are a few key factors to keep in mind. These include:

• Dividends: blue-chip companies tend to pay attractive dividends consistently – it’s one of the main reasons why stock traders invest in them. Look out for stocks that pay dividends (although this isn’t a hard-and-fast rule – some blue-chip companies, like Berkshire Hathaway,²⁴ don’t pay dividends and are still worth considering)
• Transparency: ethical operations and transparent financial reporting and disclosures are crucial when choosing blue-chip stocks. While this is true for all shares, it’s particularly important for blue-chip stocks, as their stability depends heavily on public and stock-trader trust
• Economic resilience: a long track record of stability over both positive and unstable economic times is the hallmark of a good blue-chip stock – can it weather economic storms?
• Industry leaders: blue chips worth your time tend to be market leaders with a large market share in their sector or industry

How to trade blue-chip stocks with IG UAE

CFDs

1. Open a CFD trading account with IG UAE
2. Search for blue-chip stocks on the IG platform
3. Decide whether to go long (buy) or short (sell)
4. Choose your position size
5. Set stop-loss and limit orders
6. Place your trade and monitor it

Stock trading

1. Open a stock trading account with IG UAE
2. Search for blue-chip stocks available for direct ownership
3. Choose the stock you want to buy – try our stock screener
4. Determine how many shares you want to purchase
5. Place your order
6. Monitor your investment and collect any dividends

FAQs about blue-chip stocks

Footnotes
 

1. TradingView, July 2025
2. TradingView, July 2025
3. Morningstar, May 2025
4. Morningstar, May 2025
5. Morningstar, May 2025
6. TradingView, July 2025
7. Coca-Cola, April 2024
8. Microsoft earnings report, April 2025
9. Microsoft earnings report, April 2025
10. Microsoft earnings report, April 2025
11. TradingView, July 2025
12. JPMorgan Chase earnings report, July 2025
13. JPMorgan Chase earnings report, July 2025
14. JPMorgan Chase earnings report, July 2025
15. TradingView, July 2025
16. Apple earnings report, March 2025
17. Apple earnings report, March 2025
18. Apple earnings report, March 2025
19. Apple earnings report, March 2025
20. TradingView, July 2025
21. Coca-Cola earnings report, April 2025
22. Coca-Cola earnings report, April 2025
23. Coca-Cola earnings report, April 2025
24. The Motley Fool, July 2025